§ Mr. Teddy Taylor
To ask the Chancellor of the Exchequer what is the total amount of the expenditure authorised in the EEC budget for the EEC's current financial year; what measures have been introduced to prevent the EEC from overspending its budget by means of seeking advance payments under regulation 2891/77 or in delaying payments to member states which would normally fall to be made; and if he will make a statement.
§ Mr. Brooke
The 1988 budget, as amended, provides for expenditure of 43,820 mecu (around £29,213 million). In its amending letter to the 1989 preliminary draft budget the Commission estimates that there will be underspending of some 1,300 mecu (around £867 million) in 1988. Advance payments made under article 10(2) of regulation 2891/77 do not increase the total amount which the Community is authorised to spend in any given year. The Brussels European Council in February agreed on measures to improve budgetary management and to strengthen the principle of annuality.